Westpac-owned Ascalon Capital Managers has appointed Chuak Chan to establish the boutique fund manager incubator's Asian operations.
Chan was previously Segantii Capital Management's chief operating officer.
He will initially be based in Westpac's Hong Kong offices and work with the Securities and Futures Commission on the licensing process before launching Ascalon in Hong Kong, subject to regulatory approval.
Ascalon was looking to Asia for expansion in order to source potential new investments in boutique managers and accelerate growth in the offshore investor base of current boutique partners, Ascalon chief executive Andrew Landman said.
"Asia, with the quality of absolute return managers and the access it provides to large United States, European, Asian and Middle Eastern investors, will be a critical growth market for Ascalon and its partner firms," Landman said.
"While Ascalon's boutiques have successfully grown in Australia, the market for some of our partners' strategies is far larger offshore and it's important that we seek to provide active offshore distribution to our partners.
"It's our aim to take equity stakes in Asian boutique firms, with the objective of expanding our stable and offering prospective partners strong operational support and access to the ever-growing Australian funds management market."
Chan said Ascalon's business model would be unique in Asia as it would seek to partner with boutiques and invest in their business, seed funds, raise capital and provide operational support.
"Additionally, having the backing of a leading financial institution should reduce investor concerns regarding business risks frequently inherent in boutique firms," he said.
"Ascalon has been very successful in helping its boutiques grow their businesses in Australia. By looking to Asia, Ascalon will be able to further its boutiques' ambitions to offer their investment strategies to a wider audience."
Ascalon's boutique investments include H3 Global Advisors, Continuum Capital Management, Helix Partners and Arkx Investment Management.
